Major U.S. indexes fell amid a lack important macro and weak corporate reports of retailers Staples Inc and Urban Outfitters Inc, which did not meet analysts' expectations. In addition, investors decided to fix positions before the publication the minutes of the previous meeting of the U.S. Federal Open Market Commitee (18:00 GMT). Despite a steady improvement in the economic situationon, on the market are fewer incentives for further growth. We keep medium and long term negative outlook for the market.
European stocks declined due to weak corporate reports, the expectation of publication of meeting minutes of the U.S. Federal Reserve and data on producer price index in Germany, which fell by 0.1% in April. The UK market was supported by data on the growth of consumer inflation by 1.8%. Today, the course of trading may be affected by the data on the balance of payments (08:00 GMT), the index of consumer confidence in the euro area (14:00 GMT) and retail sales in the UK (8:30 GMT). The dynamics of indexes in the medium term may be positively affected by the ECB's decision on new measures against low inflation. Despite this, we maintain a long-term and medium-term negative outlook for the European indexes.
Stock indexes of Asia-Pacific region are falling on the background of negative closure of U.S. markets. In China, investors are closely watching the steps of government aimed at attracting investment and support of industry and construction sector. Negative for the Japanese market has become the data on trade balance deficit at the level of 0.84 trillion., against the forecast of 0.60 trillion. The Australian market is falling due to the drop in prices not only for iron ore, but also for nickel and copper. Tomorrow night (1:45 GMT) we should pay attention to data on the manufacturing PMI in China. We maintain a long-term negative outlook on the stock indexes in China, Japan and Australia.